Harris bosses, shareholders enjoy good 2014

Shareholders and the top bosses at Harris Corp. both made out pretty well in fiscal year 2014.

The parent company of Rochester-based military radio maker Harris RF Communications is sending shareholders its fiscal 2014 proxy statement in advance of the company's Oct. 24 shareholder meeting. At that meeting, shareholders will be asked to vote on, among other things, whether they approve of what the company's top executives were paid in fiscal 2014.

And Harris Corp.'s bigwigs all saw their personal finances improve notably during the fiscal year that ended June 28. CEO William M. Brown received roughly a 3 percent raise in his base salary, while Harris RF President Dana Mehnert received a 2 percent raise in base salary.

For the year, Brown received $921,154 in salary, as well as $1.6 million under the company's cash incentives and rewards programs for executives — up from the $1.9 million in salary and incentive cash bonuses he received the year before. Mehnert received $493,208 in salary, as well as $335,531 in cash bonuses, up more than $60,000 from fiscal year 2013.

Brown also received stock and options with a total value estimated at $4.75 million, compared with $4.1 million worth in fiscal 2013. Mehnert received $1.3 million worth, up from $1.2 million.

However, fiscal 2014 could have been better. According to the company, Mehnert's cash incentive payout was below the company's target because RF Communications' financial performance fell short of goals set early in the fiscal year. He also received a smaller performance share award for the three-year performance of fiscal 2012 through 2014 — again because the cumulative performance fell short of goals.

RF revenues for the year were down 1.1 percent — a big improvement over the 14 percent decline from fiscal 2012 to fiscal 2013.

Harris Corp. revenues overall were down about 2 percent, to $5 billion. However, profits were up and Harris shareholders have made out well. The company's stock averaged $66 in fiscal 2014, compared with $47 in fiscal 2013.

Brown also received roughly $400,000 in dividend equivalents paid in cash from stock shares earned for performance over the fiscal 2012-2014 span, and $104,000 worth of company payments into his 401(k). Mehnert received more than $36,000 from the company into the defined contribution plan, and nearly $44,000 in performance stock share dividend payments.